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AM Best Upgrades Credit Ratings of Wright National Flood Insurance Company
[June 22, 2022]

AM Best Upgrades Credit Ratings of Wright National Flood Insurance Company


AM Best has upgraded the Financial Strength Rating to A (Excellent) from A- (Excellent) and the Long-Term Issuer Credit Rating to "a" (Excellent) from "a-" (Excellent) of Wright National Flood Insurance Company (WNFIC) (San Antonio, TX). The outlook of these Credit Ratings (ratings) is stable.

The ratings reflect WNFIC's balance sheet strength, which AM Best assesses as strongest, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management.

The rating upgrades reflect a revision in the company's business profile assessment, which has benefitted from its strong market presence as the leading U.S. writer of federal flood insurance, which is supported by the largest Write Your Own sales and support staff, in addition to WNFIC's excellent management with a successful history of executing its strategy. Despite its mono-line orientation, WNFIC's unique business profile with an exclusive flood focus has proven to benefit the organization as a proponent of the Federal Emergency Management Agency's new pricing methodology for the National Flood Insurance Program (NFIP), Risk Rating 2.0, by providing early opt-in quotes, education and resources to consumers and agents.

WNFIC's balance sheet strength continues to be supported by its strongest level of risk-adjusted capitalization, as measured by Best's Capital Adequacy Ratio (BCAR), excellent quality of capital, and conservative investment portfolio. The company's solid operating performance is primarily driven by profits produced fom service fees and ceding commissions from the NFIP, resulting in the company's ability to generate surplus growth through operations.



This press release relates to Credit Ratings that have been published on AM Best's website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.


Copyright © 2022 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.


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